There were 190 businesses in the sound recording studios industry at the end of June 1997. Sole proprietorship's and partnerships accounted for 25 (13%) of the businesses while there were 138 (73%) businesses operating as incorporated companies.

Businesses in the industry generated $43.6m in income in 1996-97, of which $20.9m was income from hire of the studios and $19.4m was income from the provision of other sound recording services, such as audio mastering services, audio post-production services, location recording services, advertising production and message on hold services.

Total expenses of businesses in the industry was $38.5m in 1996-97. The major expense item was labour costs, which accounted for $12.5m (33% of total expenses). Other significant expense items included $3.5m for payments to freelance
personnel, $3.6m for rent, leasing and hiring expenses and $3.5m for depreciation and amortisation. Other operating expenses were $9.6m and included items such as motor vehicle expenses, advertising expenses, telephone expenses and staff training expenses.

Employment in the industry totalled 499 persons at 30 June 1997. Of these, 462 (93%) were employees, with the remaining 7% being working proprietors and partners. Almost two-thirds (65%) of persons employed in sound recording studio businesses were male. Of the males, 70% were employed full-time, whereas only 57% of females were employed full-time. Overall, 66% of people employed in the industry worked full-time.

In 1996-97, the sound recording studios industry generated an operating profit before tax of $5.1m, which represented an operating profit margin of 11.7%. The operating profit before tax per person employed for 1996-97 was $10,200.

There were 23 sound recording studio businesses which had an income of $500,000 or more in 1996-97. These businesses comprised 12% of all businesses in the industry, but accounted for 34% of the industry's employment, and slightly over half (55%) of its income.

About one-half (51%) of the sound recording studio businesses were located in New South Wales. A further 28% were located in Victoria and 11% in Queensland. In terms of the level of activity, New South Wales and Victoria generated similar amounts of income. The income of businesses in New South Wales totalled $17.5m, while those in Victoria had income of $16.5m.

At the end of June 1997, assets of sound recording studio businesses totalled $36.8m while liabilities totalled $24.4m. Thus, the net worth of the sound recording studio industry was $12.4m.

ABOUT THIS PUBLICATIONThis publication presents results in respect of 1996-97 from a census of employing businesses mainly engaged in the sound recording studios industry. The ABS previously conducted a survey of sound recording studios in respect of 1995-96. However, direct comparisons of results are not possible. The 1995-96 survey excluded freelance recording personnel, location sound recordists and mobile studios which were included in the 1996-97 survey. Also, the 1995-96 survey included sound recording studio businesses mainly engaged in composing advertising and jingles, and in operating audio/multimedia schools, which were excluded from the 1996-97 survey. Unlike the 1996-97 survey, the 1995-96 survey included non-employing businesses.

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